GOOG to trade lower?

As Jeremy pointed out, word on the street is that the Google shares will likely start trading below the $108 minimum bid that was set for the auction at first. CBS Marketwatch is also reporting that there are just too few bidders, at least at the higher prices. If they get in at something like $20, then I would start to be thinking about investing really. Maybe even $30. I’d have to redo my own Google valuation which was done before they announced the share numbers. But my valuation in the first item was correct and came out at roughly $100 per share. So if we take $140 there, therefore adding 40% to my other prices, a valuation I would be comfortable with would be about $30. Of course being in Germany, I can’t really invest until after the IPO.

Update : The google debut on the stock market is delayed it seems. SEC authorization is not there yet.

Update 2 : Trading will start between $85 and $95 accounting to this BBC article and on top of that selling shareholders will only sell about 5 million instead of 11 million shares. It actually bothers me a great deal that part of the IPO is based on shareholders selling shares instead of the company anyway. At 5 Million shares and $100 per share, that puts something like $500 million (a bit less if you take out fees and such) directly into the pockets of big VCs and the founders, to name a few. “Don’t do bad.” could be true here, as this is really not bad deal for them. I am starting to wonder if the “Don’t do bad.” doesn’t apply for shareholders of the company.

Update 3 : Authorization by the SEC is out. GOOG listed. They could be starting to trade today.